On Monday, the Biden administration announced new trade regulations for advanced computer chips used in artificial intelligence, aiming to strike a balance between national security and economic objectives.
The model restricts device access for about 120 countries, including Mexico, Portugal, Israel, and Switzerland, concerning some business professionals.
Commerce minister Gina Raimondo emphasised the need to keep America’s AI management. ” As AI becomes more powerful, the threats to our national security become even more intense”, Raimondo said. She continued,” The framework is designed to protect the most advanced AI systems and ensure that it stays out of the hands of our foreign enemies while also allowing the broad propagation and posting of the rewards with partner places.”
Jake Sullivan, the framework’s national security adviser, stated that the goal is to maintain cutting-edge AI creation with close friends in the US. But, industry associations like the Semiconductor Industry Association and the Information Technology Industry Council expressed fears about possible supply chain disruptions and the damage to US profitability. By ceding proper areas to our competitors, SIA President and CEO John Neuffer warned that the new law could unexpected and harm America’s market and global competitiveness in semiconductors and AI.
An industry ceo, speaking secretly, claimed the restrictions may affect chips used in movie games and data center construction worldwide, contradicting government claims. The approaching Trump administration may ultimately decide the rules thanks to the 120-day post time.
Officials claim that the intensity is brought on by a rumored six to 18-month US benefits in AI over competitors like China. Nvidia’s Ned Finkle criticized the construction:” While shrouded in the pretense of an’ anti-China ‘ estimate, these rules would do nothing to improve US protection”, he said. The new regulations would apply to all forms of technology, including those that are already widely used in consumer hardware and mainstream gaming PCs.
Roughly 20 allies, including nations like Australia, Canada, France, Germany, Japan, South Korea, and the UK, will face no restrictions. Other countries face import caps of 50, 000 graphics processing units, potentially increasing to 100, 000 through government agreements. Some institutions have the right to request approval to purchase up to 320, 000 units over the course of two years, but there are limitations on the amount of AI computational capacity abroad. Orders greater than 1,700 units will not be subject to licensing or capes, which will likely benefit medical and university institutions.
Microsoft expressed confidence in abide by the new policy. We’re confident that we can fully meet the high security standards set forth in this rule and meet the needs of countries and customers who rely on us for technology, according to Brad Smith, president of Microsoft.
